Luận văn thạc sĩ quản trị kinh doanh quốc tế MBA (254)

INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM COMMITTMENT We confirm the content of the graduation report (Capstone Project) presented in this study is the work of our group which is not copied from other works and the data used in the study are true from the original sources We will be responsible for any error Members of the group INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM ACKNOWLEDGEMENTS We would like to thank the teachers who helped us study the theory and analysis of the business environment of BaoViet insurance and offer Vietnamese and strategic business plans Based on our group analysis, we strongly suggest strategic business options to BaoViet insurance in next five years and we raised a number of macro and micro solutions The solutions show the directions needed to be changed and improved to implement the business strategy of the corporation However, our degree is limited and these suggestions are our subjective opinions, our graduation subject still has some shortcomings We look forward to your contributions to the subject We would like to thank the teachers who have helped our group complete this subject INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM TABLE OF CONTENTS CONTENTS PAGE INTRODUCTION 11 12 CHAPTER 1: RATIONALE 1.1 Concept and role of strategic management 1.1.1 Concept 12 12 1.1.2 Role of strategic management 12 1.2 Process of business strategy 1.2.1 Strategic planning 13 1.2.1.1 Analysis of external environment – PEST model (Politics, 14 14 Economy, Society, Technology) 1.2.1.2 Analysis of sector environment - Michael E Porter’s competitive 15 force model 1.2.2 Strategy implementation 1.2.3 Testing and evaluation 1.3 Matrix used to analyze business strategy 16 16 1.3.1 External factor evaluation matrix (EFE matrix) 16 1.3.2 Internal factor evaluation matrix (IFE matrix) 17 1.3.3 Competitive Image Matrix 17 1.3.4 SWOT matrix 17 17 CHAPTER II: ANALYSIS OF BAO VIET INSURANCE SITUATION 2.1 Summary of Finance - Insurance Corporation – Establishment and development process 18 18 2.1.1 Finance - Insurance Corporation 2.1.2 BaoViet Insurance Corporation 18 2.2 Strategic planning process 2.2.1 Business environment of non-life insurance in Vietnam 19 22 2.2.1.1 External environment 2.2.1.2 Insurance environment and competition 2.2.2 Assessment of five competition factors in insurance 22 22 24 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM 2.3 Situation of Bao Viet Insurance 32 2.3.1 Assets and capital 34 2.3.2 Turnover - market shares 34 2.3.3 Loss - compensation 34 2.3.4 Costs - direct business efficiency 35 2.4 Value line 36 2.4.1 Main values of non-life insurance 37 2.4.2 Existing value line of BaoViet insurance 37 2.4.2.1 Individual products 37 2.4.2.2.Business products 38 2.5 Matrix for choosing business strategy 38 2.5.1 Matrix for external factor evaluation (EFE) 39 2.5.2 Matrix for Internal Factor Evaluation (IFE) 40 2.5.3 Generalized matrix of Internal-External (IE) Factors 41 2.5.4 Competitive Image Matrix 41 2.5.5 SWOT matrix 41 42 CHAPTER III: BUSINESS STRATEGY FOR BAOVIET INSURANCE PERIOD 2011 - 2015 46 3.1 Mission, vision and business philosophy 3.2 Strategic objectives to 2015 46 3.2.1 Finacial objectices 47 3.2.2 Products 47 3.2.3 Distribution channels 48 3.2.4 Customer services 48 3.2.5 Business models 50 3.2.6 Human and knowledge resource management 50 3.2.7 Compliance improvement 50 3.2.8 Business culture 51 3.3 Key areas 51 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM 3.4 Vision in 2020 52 3.5 Business strategy selection 52 3.5.1 Basis for choosing business strategy 52 52 3.5.1.1 Cost strategy 52 3.5.1.2 Differentiation strategy 53 3.5.1.3 Focus trategy 54 3.5.2 Using SWOT matrix 3.5.3 Quantitative strategic planning matrix (QSPM) 3.5.4 Objective value line of BaoViet insurance 55 56 57 3.5.4.1 Objective value line1 57 3.5.4.2 Objective value line2 58 3.5.4.3 Objective value line3 3.6 Forecast to the growth of Vietnam nonlife insurance market 59 59 3.7 Applied strategic solutions 60 3.7.1 Products 60 3.7.1.1 Motor vehicle insurance 3.7.1.2 Health care and Personal accident Insurance 3.7.1.3 Marine and Inland Cargo Insurance 3.7.1.4 Hull insurance and Ship-Owner’s civil Liability Insurance 61 61 62 63 3.7.1.5 Fire and special Perils insurance 63 3.7.1.6 Energy and aviation insurance 64 3.7.1.7 Reinsurance 3.7.2 Solutions to develop distribution channels and Marketing 64 65 3.7.2.1 Distribution agents 65 3.7.2.2 Insurance Brokers 65 3.7.2.3 Bancasurance 66 3.7.2.4 Direct channel 66 3.7.2.5 E Commerce and Tele Sales 3.7.2.6 Trade mark building and marketing 66 66 3.7.3 Business supporting solutions INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM 3.7.3.1 Customer services 67 3.7.3.2 Business model 3.7.3.3 Information technology 67 3.7.3.4 Human and knowledge resource management 67 3.7.3.5 Compliance improvement 68 3.7.3.6 Business culture 68 3.7.4 Strategic solutions of financial investment 69 3.7.4.1 Capital strategy 69 3.7.4.2 Financial investment strategy 69 3.7.4.3 Strategic solutions of facility investment 69 3.7.5 Implementation process of major measures 69 3.7.6 Some recommendations to state management agencies 70 CONCLUSION 71 73 74 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM LIST OF FIGURES - TABLES Figure Chapter Figure 1.1 Table 1.2 Figure 1.3 Figure 1.4 Chapter Name Page Processes of business strategy formulation Pest mode M.Porter’s Five Forces of Competition Model The matrix used for analysis 14 14 15 16 Table2.1 Table 2.2 Table 2.3 Table 2.4 Table 2.5 Table 2.6 Diagram 2.7 Table 2.8 Diagram 2.9 Structure of BaoViet Finance - Insurance Corporation Structube of BaoViet insurance Financial data summary in 2008-2009-2010 Number of non- life insurance companies in Vietnam Non – life insurance fee and GDP Market share – main services of competitors Origin insurance fee turn-over market share months-2011 Rising speed in main services of competitors Origin insurance fee turn-over rising in months compare 18 21 22 24 25 27 28 29 29 Table 2.10 Table 2.11 Table 2.12 with the same time of 2010 DOMESTIC INSURANCE COMPANIES FOREIGN/JOINT-VENTURE INSURANCE COMPANIES Assets and capital 30 30 34 Diagram 2.13 Original insurance turnover and market share of BaoViet Table 2.14 Table 2.15 Table 2.16 Table 2.17 Table 2.18 Table 2.19 Table 2.20 Table 2.21 Chapter Table 3.1 Table 3.2 Table 3.3 Table 3.4 insurance through years Original compensation – market and BaoViet insurance Costs- business efficience of BaoViet insurance Existing value line of individual products Existing value line of business products 35 Matrix for external factor evaluation (EFE) 36 36 38 39 39 IFE Matrix IE Matrix Competitive Image Matrix 40 41 41 Distribution channels The estimated propotion distribution channel to 2015 SWOT Matrix of BaoViet Insurance QSPM selects strategies for BaoViet Insurance 48 48 55 56 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM Figure 3.5 Figure 3.6 Figure 3.7 Table 3.8 Target 1: The new value line of individual products Target 2: The new value line of individual products Target 3: The new value line of business products Forecast to the growth of Vietnam nonlife insurance market 58 59 59 60 INTRODUCTION General context, necessity and importance of the research Insurance is a financial sector which is very important for nations in general and Vietnam in particular Insurance is the measure of risk moving and today it has become one of the effective measures of capital mobilization for the economy In fact, insurance business has shown the continuous growth of the insurance industry and the potential future development However, Vietnam's insurance market is INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM being diversified with high-speed, market opening pressures and growing challenges of integration Insurance business is risk business, loss-sharing with customers, insurance products are specific, private and abstract services which are more concrete and practical than other products in the market when the terms of the insurance contract is executed promptly and efficiently For customers, paying the premium is to purchase the peace of mind at work and to share concerns about the risks which can happen in life For the community, insurance contributes to regulating the balance of income, social benefits and stability Insurance market of our country in recent years has been very dynamic and diverse The number of insurance companies is rising; there is a diversity of ownership forms in both life insurance and non-life insurance, under three areas of human insurance property insurance and civil liability insurance; the competitiveness of the companies have gradually met the needs of customers For an insurance company, the capacity of capital, technology, management skills and business are very important elements to create power If insurance companies in the country not make any improvement and strengthen the capacity, today it will be hard for them to survive and succeed in severely competitive Right now, domestic insurance companies need to create their own firm position, to maintain and to expand market shares, to create confidence from consumers Insurance companies should diversify products, improve service quality, focus on customer care and make quick and reasonable compensation in case of insurance risks Train and professional improvement, service style, enhancing professional ethics for business officials and insurance agents are essential Insurance companies need to grasp and apply quickly achievements of technology science, especially information technology to the process of business exploration and management to improve business efficiency, to save management cost and to lower premiums appropriately Investment activities should be promoted effectively by utilizing financial investment instruments and participating actively in the stock INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM market When companies invest in projects with large capital, they should focus on evaluation to ensure the safety and the profitability from the capital In the context of increasingly fierce competition, trade promotion is one of the basic elements to the success of a business In the insurance sector, this factor plays a very important role, especially in Vietnam today, people's awareness of the role of insurance for the economy and social life is still limited This is a good opportunity for insurance businesses to increase people’s awareness of insurance and to build their companies' image among potential customers With the current economy, the strategic direction of business in accordance with the specific characteristics of each company to survive, to develop and to improve competitiveness is the most urgent need at present Research purposes The purposes of the subject are to analyze and to evaluate the level of competition in the insurance sector in order to build a competitive strategy consistent with the planned strategic objectives to create differences of BaoViet Insurance and to offer solutions to improve competitiveness Research Methodology - Based on research models such as PEST model, Michael Porter's five force model and SWOT matrix model combined with the theory of competitive advantages to build the business strategy of the enterprise - Data collection method: Using data from published documents; surveys of insurance market research made by professional market research companies, Association of Vietnamese Insurers, on magazines and on the Internet combined with analysis, synthesis and comparison to clarify and specify the research content of the subject The structure of the research 10 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM To make full use of strength of BaoViet (network, distribution channel) to increase development of motor insurance To make added service driving support to motor insurance products at the curtail locations To compete on motor insurance price based on risk classification and costs according to customers’ features such as gender, age, damage history To centralize and manage on customer data base to increase reinsurance rate To apply promotion program, gifts in increase revenues Compensation supervision To train and supplement the assessors of motor vehicles To build independent assessors, separate to compensation task to serve for one area To establish antifraud association of insurance To build and share data base of vehicle price and accessories Customer service Added service to support drivers at the key areas (initially at Hanoi, Ho Chi Minh city, Da Nang) To develop customer service centre (24/7 nationwide, to support customers in declaration of accidents, compensation settlement, professional answer, etc) Distribution channel Beside the traditional channels such as staffs, agents, other channels should be broaden such as Brokers, Bancasurance (ATM) and Ecommerce 3.7 1.2 Health care and Personal accident Insurance Growth To maintain relationship with traditional partners of pupil insurance, insurance in combination with people by service quality and appropriate financial mechanism To develop new products of medical insurance, health, diversified insurance, package products to meet demand of different segments from low to high level To provide added value to make product differentiation of BaoViet Insurance such as VCCC, income support, care allowance, arrangement for seeing doctor, 61 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM choosing medical centre and doctors, supplying consulting service, supporting 24/24 Compensation control, effectiveness To make evaluation of product development and adjust products to ensure business effectiveness To enhance the task of prevent insurance fraud Customer service To work with hospital to supply guaranteed hospital fee service for high liability medical insurance To centralize compensation settlement for high liability medical insurance and guaranteed hospital fee To build professional management software for high liability medical insurance and guaranteed hospital fee Distribution channel To maintain good relationship with insurance brokers to employ group medical insurance To develop Bancasuarance channel to employ medical insurance and accidents associated with banking customers To develop online sales channel for tourism insurance 3.7.1.3 Marine and Inland cargo Insurance Growth To maintain traditional customers, focus on big customer group and product group with high export and import quota To develop the customers which are small and medium size enterprises Compensation control, effectiveness To evaluate and classify risks to get appropriate conditions and insurance fee To build floor insurance fee To build data base to easily search information on commodity insurance via internet 62 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM Customer service To apply software between BaoViet Insurance and customers, to supply big customers Distribution channel Direct distribution channel accounts for 70% Broking and agent channel account for 20% Other channels and Bancasurance 3.7.1.4 Hull Insurance and Ship –Owner’s Civil Liability Growth To focus on market in Hanoi, Ho Chi Minh city, Hai Phong regarding shipment, make concentration on big and prestigious partners in terms of shipment To focus on exploiting ships and fishing ships at the Southern region Compensation control, effectiveness To control fee debt to increase business effectiveness To eliminate old ships with high risks, excluding ships belong to shipment group Service quality To train to improve staff qualification and customer service Distribution channel To diversify distribution channel through agents, banks, associations, local authorities 3.7.1.5 Fire and Special Perils insurance Growth To focus and research to develop new market, to develop demand of group insurance API, LPI, PRL, ECI, PL To develop complex risk products To improve capacity of project exploiting channel Compensation control, effectiveness To manage at TSC Service quality 63 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM To train to improve staff qualification and customer service To build standard regulations in exploiting and serving customers Distribution channel To diversify distribution channel, in which increase Bancasurance up to 2530% 3.7.1.6 Energy and aviation insurance Growth To maintain big customers, make use of exploiting new customers Customer service To train staffs and branches to actively access and collect information Risk management To support Reinsurance to well manage risks Distribution channel To use agents, collaborators for exploitation 3.7.1.7 Reinsurance Retrocede To build fix contract on risk insurance on people and vehicles To gradually transfer from ratio contract to excess of loss contract To analyze risk model on natural disasters and increase limit of 200 years of risk protection on natural disasters To maintain strategic cooperation with SwissRe, Munich Re as for the main ratio contract To broaden relationship with the big insurance companies such as Hannover Re, Partner Re, Scor Re and ACR, Korean Re All companies receive reinsurance of fix contract must rank from A- according to S&P or equal according to AM Best, receive temporary reinsurance with rank from BBB above (excluding domestic reinsurers) Reinsurers 64 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM The domestic market of reinsurance is the key market, revenue ratio between domestic and foreign market is 80%/20% To increase temporary service as for professions which is experienced in net exploitation/ to avoid receive fixed contract To receive fixed reinsurance contract in case of non-ratio contract To build staff force to supervise reinsurance and need to be trained deeply on profession To apply information technology to manage activities of Retrocede and reinsurers 3.7.2 Solutions to develop distribution channels and Marketing 3.7.2.1 Distribution agents - To increase cooperation with companies in the Group sell products especially Boa Viet life Insurance - To specialize agent system according to product groups and locations - To research and develop Great agent showroom - To build professional agent standards and bonus mechanism 3.7.2.2 Insurance Brokers - To standardize and specialize working process with brokers, to improve staff qualifications working with brokers - To enhance working withy brokers in terms of medical insurance, fire technical insurance, motor vehicle insurance - To specialize organizations and staffs to maintain and develop relationship with brokers 3.7.2.3 Bancasurance Channel - To enhance cooperating with strategic banks, besides, broaden cooperation to other banks - To build sales management process, report system, customer service as well as sales banking staffs on insurance, skills of insurance sales 65 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM - To apply information technology management system between banks and insurance To build bonus regulations, incentives for sales 3.7.2.4 Direct channel - To determine key areas: Hanoi, Hai Phong, Quang Ninh, Hai Duong, Phu Tho, Nghe An, Da Nang, Khanh Hoa, Dac Lac, Gia Lai, Ho Chi Minh city, Dong Nai, Binh Duong, Vung Tau, Can Tho, Kien Giang - To improve capacity, sales skills, knowledge on products for sales staffs, especially to build professional sales staffs - To build standards for sales staffs and bonus regulations, incentives for sales - To broaden network, branches in Hanoi (1), Dong Nai (1), Ho Chi Minh city (1) - To work with units in Group to establish financial supermarket at key areas 3.7.2.5 E Commerce and Tele Sales - To build and develop distribution channel to create many facilities and value for customers such as Internet, ATM, telesales, mobile sales To build customer service centre telesales - To develop online sales via website - To develop link gate for online sales 3.7.2.6 Trade mark building and marketing - To evaluate and research customer service - To study and evaluate strategies of competitors - To develop marketing programs, PR to build strong brand name and increase awareness of customers on brand name BaoViet Insurance as well as other products of BaoViet Insurance To build professional PR staffs - To develop sales promotion programs regularly and randomly (depending on annual strategies of institutions) 66 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM - To establish Marketing Department and Market Research for market research, to build marketing strategy responsively and meeting development demand of BaoViet Insurance 3.7.3 Business supporting solutions 3.7.3.1 Customer services To establish customer service centre(s) and build consistent standards for all accession lines to customers including direct way and through centre(s) * The centre include consulting, answering customers’ call, answering requirements on compensation of customers, sales and customer service via websites * To build capable customer service Director to ensure quality consistency To set targets on customer service quality and annual evaluation through survey on customers’ satisfaction Customer Service Director Call Center Insurance Application Answer Compensation Website đến) 3.7.3.2 Business Model To manage and collect data, statistics of customers To specialize all phases of sales process including sales, risk evaluation, assessment, initially at key areas To specialize product sales activities of individuals and enterprises as for staffs and agents Solutions To centralize several phases such as customer service, agent service, statistics input and achievement, accounting and fee collecting examination To centralize 67 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM risk assessment activity and accept insurance to professions such as fire technical, commodity and shipment insurance To apply information technology, software to build transparent sales model, the whole or a part, to decrease people participation such as online sales, software connecting the company, partners, customers To complete guarantee and hospital fee payment centre in Hanoi and Ho Chi Minh city to ensure meeting demands at key areas in Northern and Southern regions 3.7.3.3 Information Technology To invest management software application CRM software File net management system Lotus Notes internal document management system Tele Sales service (outsourcing) 3.7.3.4 Human and knowledge resource management To make bonus, salary, incentive policies based on operation results To use software for handing over and evaluating work To make training policy with clear target, to apply study map to ensure capacity and appropriate training for each position To centralization management on human resource management To set up mechanism for creation incentives, acceptance and evaluation, applying creative ideas of all staffs in the company To build model of e-learning to share knowledge in the company 3.7.3.5 Compliance Improvement To popularize and develop consistently all regulations and rules on the Group To increase internal inspection and examination activities 3.7.3.6 Business Culture To standardize and popularize customer service culture in the organization To evaluate customer service quality 68 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM To receive feedback of customers on service quality, service behaviors To advocate and focus on key objects such as leaders of branches and departments 3.7.4 Strategic solutions of financial investment 3.7.4.1 Capital strategy - To meet the growth demand and demand of payment capacity, it is necessary to supplement 1.200 billion VND of capital in the period of 2010-2015 Capital demand and influence of capital increase shall be shown at the below statistics chart - To meet demand of payment capacity, the increased capital shall be invested in high safety investment activities such as banking deposit, government bond With the such capital investment, profit ratio on target owned capital accounts for 17%, it is estimated in 2015 above 21% 3.7.4.2 Financial Investment Strategy - To establish Financial Investment Department to increase specialization of investment activities - To build investment policy - To increase proportion investment in high safe activity such as banking deposit, government bond, guaranteed bond of enterprises - To establish Asset Management and Liability Council (ALCO) to make investment decisions which are suitable with insurance liabilities, to meet requirements of payment capacity 3.7.4.3 Strategic solutions of facility investment To meet development demand up to 2015, within next years, BaoViet Insurance shall: - To invest and build the building No Ly Thuong Kiet as headquarters for the Group and business on office lease - To invest in building headquarters of Member Company for customer service according to Strategy of the Group 69 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM - To pay attention to the consistency in forms of constructions which are modern and suitable with office function To build and apply brand name identity for constructions: consistency in colors, ratio, sizes, images on office signs, headquarters, office system, etc - To design of interior transaction hall, guest reception of headquarters as consistent form Polite interior bring friendly and comfortable feelings to customers It is consistent to use forms, shapes of reception desk, transaction, guest reception desks and tables 70 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM 3.7.5 Implementation process of major measures Strategic solutions To create added service of supporing drivers of car insurance at key areas 24/7 service nationwide to support sustomers for compensation process To broaden other distribution channels such as ATM Ecommerce To provide added value for product differentiation of Bao viet Insurance such as VCCC, income support, care allowances, arrangement for seeing doctor, choosing medical centres and doctors, providing consulting service, 24/24 support To increase cooperation with companies in the Group to sell products (especially Bao Viet Life Insurance) To centralize agent system according to product group and locations To research and develop total agent model To enhance cooperation with strategic banks, besides, broaden cooperation with other banks To work with units in the Group to establish financial supermarket at key area To develop marketing programs, PR to build strong brand name and increase awareness of customers on brand name BaoViet Insurance as well as other products of BaoViet Insurance To build professional PR staffs To establish customer service centre(s) and build consistent standards for all accession lines to customers including direct way and through centre(s) Year 2010 Year 2011 Year 2012 Year 2013 Finish Finish Finish phase No Continue developing Finish tourism insurance Continue developing Continue developing Continue developing Finish and Continue developing Continue developing Deelop as Group’s progress Continue developing Continue developing 71 Finish Year 2014 Year 2015 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM * The centre include consulting, answering customers’ call, answering requirements on compensation of customers, sales and customer service via websites * To build capable customer service Director to ensure quality consistency Finish To set targets on customer service quality and annual evaluation through survey on customers’ satisfaction Finish To build professional management software for high liability medical insurance and guaranteed hospital fee To invest in professional management software application, accounting software CRM Software Filenet Document management system To manage and collect statistics and data of customers Lotus Notes Internal Document management system To make bonus, salary, incentive, effectiveness based on operation results To use software of handing over and evaluating work To build e-learning model to share knowledge in the company To advocate for customer service culture in the organization To increase capital up to 2000 billion VND To establish Financial/Investment Department to increase specialization of investment activity To build investment policy To establish Asset Management and Liability Council (ALCO) To invest in building No Ly Thuong Kiet to make headquarters for the Group and office lease business Finish Finish Deelop as Group’s progress Finish Continue developing Continue developing Finish Continue developing Finish Continue developing 500 billion Finish 500 billion Finish , Continue developing Finish Finish 72 200 billion INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM 3.7.6 Some recommendations to state management agencies Firstly, it is recommended to complete business law system on insurance, to meet management requirements, in accordance with the accession of Vietnam in WTO and IAIS On the basis of adjustment and supplementary clauses of Insurance Business law passed by Congress, Government and Financial Ministry issues guiding documents in accordance with market development situation to adhere international standards Secondly, it is recommended to strictly obey WTO accession commitments in terms of insurance, to implement equality of domestic enterprises and foreign owned capital enterprises The current regulations create equal play ground among foreign owned capital insurance enterprises Thirdly, it is recommended to manage and operate in comply with international standards, prepare material foundations to ensure management in accordance with international standards which are set by associations and (IAIS) Fourthly, it is recommended to enhance communication activity to raise awareness on participation of insurance It is recommended to examine and supervise the market as well as implement strictly sanctions to ensure safe, positive and effective market development 73 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM CONCLUSION In the context of integration and international economic development, the growth speed of nonlife insurance market is relatively high; it is difficult and complex to make long term business strategies for orientation of enterprise’s firm development It is required administrators to research scientifically and practically Through the working period at BaoViet Insurance Corporation as well as working knowledge at Master program in business administration, Group would like to provide opinions of the Group on business strategic making for BaoViet Insurance Corporation in the period of 2011-2015 and vision 2020 The recovery solutions and recommendations to authority agencies shall support management board of BaoViet Insurance Corporation to fulfill strategic development targets to keep No position in Insurance sector in Vietnam market We would like to send sincere thanks to the precious supports of lecturers of the Program, as well as the concern of BaoViet Insurance Corporation leaders who have created favorable conditions for our group to complete this research With such short time and restricted knowledge in insurance, this research shall still get shortcomings and limitations, we would like to receive contribution ideas of lecturers and students Thank you so much./ 74 INTERNATIONAL BUSINESS ADMINISTRATION MASTER PROGRAM REFERENCE MATERIAL Vietnamese: Le The Gioi - Nguyen Thanh Liem - Tran Huu Hai (2007), Strategic Management , Statistics Publishing House, Hanoi Vu Trong Khai (main composer), Lam Ngoc Diep (1996), Organization and Company Management, Statistics Publishing House, Hanoi Bao Viet Insurance Corporation, Audited Financial Reports in 2007,2008,2009 In English: Chandler, A (1962), Strategy and Structure Cambrige, Masacchusettes MIT Press Charles, Hill Garth, Jone (1995), Strategic Management, Washington Fred R.David (2011), Strategic Management - Concepts and Cases (13 th Edition), Pearson Education Limited J David Hunger & Thomas L.Wheelen (2001), Essentials of Strategic management M.E Porter (1980), Competitive Strategy, Free Press New 75